Army awards $171M contract to Great Lakes Dredge & Dock for heavy civil engineering construction

Contract Overview

Contract Amount: $171,153,928 ($171.2M)

Contractor: Great Lakes Dredge & Dock CO, LLC

Awarding Agency: Department of Defense

Start Date: 2021-10-01

End Date: 2024-05-23

Contract Duration: 965 days

Daily Burn Rate: $177.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DREDGING - NEW WORK,

Place of Performance

Location: CORPUS CHRISTI, NUECES County, TEXAS, 78413

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $171.2 million to GREAT LAKES DREDGE & DOCK CO, LLC for work described as: DREDGING - NEW WORK, Key points: 1. The contract value of $171.15M is significant for heavy civil engineering. 2. Great Lakes Dredge & Dock Co, LLC is the sole awardee, raising questions about competition. 3. The contract duration of 965 days suggests a substantial, long-term project. 4. The 'Other Heavy and Civil Engineering Construction' sector is critical for infrastructure development.

Value Assessment

Rating: fair

The award amount of $171.15M appears substantial for this type of construction. Benchmarking against similar large-scale dredging and civil engineering projects would be necessary to fully assess its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the single awardee, Great Lakes Dredge & Dock Co, LLC, warrants further investigation into the bidding landscape and the specific reasons for a single award.

Taxpayer Impact: The competitive nature of the award aims to secure fair pricing, but the final taxpayer impact depends on the efficiency and cost-effectiveness of the awarded contract over its duration.

Public Impact

Infrastructure development: This contract likely supports critical infrastructure projects, potentially impacting navigation, flood control, or coastal resilience. Economic impact: The project will create jobs and stimulate economic activity in Texas and potentially surrounding regions. Environmental considerations: Dredging projects often have environmental implications, requiring careful management and monitoring to mitigate impacts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, which includes large-scale infrastructure projects like dredging, dams, and highways. Spending in this sector is often cyclical and tied to government infrastructure initiatives.

Small Business Impact

The data indicates that small businesses were not involved in this contract (ss: false, sb: false). Further analysis is needed to understand if opportunities were missed for small business participation in this significant construction award.

Oversight & Accountability

The award under 'full and open competition' suggests adherence to procurement regulations. However, the single awardee warrants oversight to ensure the process was truly competitive and that the selected contractor is performing effectively and efficiently.

Related Government Programs

Risk Flags

Tags

other-heavy-and-civil-engineering-constr, department-of-defense, tx, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $171.2 million to GREAT LAKES DREDGE & DOCK CO, LLC. DREDGING - NEW WORK,

Who is the contractor on this award?

The obligated recipient is GREAT LAKES DREDGE & DOCK CO, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $171.2 million.

What is the period of performance?

Start: 2021-10-01. End: 2024-05-23.

What specific dredging or civil engineering work is being performed under this contract, and how does it align with the Department of the Army's strategic objectives?

The contract is for 'DREDGING - NEW WORK'. This typically involves removing sediment and debris from waterways to maintain or improve navigability, deepen channels, or support coastal protection projects. Its alignment with Army objectives would depend on whether it supports military logistics, port operations, or disaster preparedness and response missions.

Given the 'full and open competition' designation, why was there only one awardee, and were there any debriefings provided to unsuccessful bidders?

While designated 'full and open', a single awardee can occur if only one bidder meets all requirements, or if the evaluation criteria heavily favored one proposal. The lack of transparency on unsuccessful bidders and debriefings makes it difficult to assess the true competitiveness. Further inquiry into the solicitation's evaluation factors and bidder pool is warranted.

What are the key performance indicators (KPIs) for this contract, and how will the Army ensure the contractor delivers the required dredging work effectively and within budget?

Key performance indicators would likely include adherence to dredging specifications, environmental compliance, project timelines, and quality of work. The Army's oversight would involve regular progress reviews, site inspections, and potentially independent verification of work completed. The firm fixed price nature provides a baseline for budget control, but change orders could impact the final cost.

Industry Classification

NAICS: ConstructionOther Heavy and Civil Engineering ConstructionOther Heavy and Civil Engineering Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: W912HY21B0001

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Great Lakes Dredge & Dock Corporation

Address: 9811 KATY FWY STE 1200, HOUSTON, TX, 77024

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $172,386,736

Exercised Options: $171,153,928

Current Obligation: $171,153,928

Actual Outlays: $42,997,392

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2021-10-01

Current End Date: 2024-05-23

Potential End Date: 2024-05-23 00:00:00

Last Modified: 2025-07-23

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